COMMONWEALTH OF MASSACHUSETTS RENEWAL CABLE TELEVISION LICENSE ISSUED TO TIME WARNER CABLE NORTHEAST LLC MARCH 2013
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TOWN OF ___________ COMMONWEALTH OF MASSACHUSETTS RENEWAL CABLE TELEVISION LICENSE ISSUED TO TIME WARNER CABLE NORTHEAST LLC MARCH 2013 1
TOWN OF___________________ COMMONWEALTH OF MASSACHUSETTS RENEWAL CABLE TELEVISION LICENSE Table of Contents ARTICLE 1 DEFINITIONS ....................................................................... 6 ARTICLE 2 GRANT AND TERM OF LICENSE ..............................................9 Section 2.1 Grant of License ...............................................................................9 Section 2.2 Rights and Privileges of Licensee ............................................... 9 Section 2.3 Applicable Law.. ..................................................................................9 Section 2.4 Term of License....................................................................................9 Section 2.5 Transfer and Assignment of Renewal License........................... 9 Section 2.6 Non-Exclusivity of Grant........................................................... 11 Section 2.7 Police and Regulatory Powers................................................... 11 Section 2.8 Removal or Abandonment ............................................................12 Section 2.9 Proceedings Upon Expiration or Revocation Of License ........................................................... 12 ARTICLE 3 SYSTEM DESIGN, CONSTRUCTION AND OPERATION ....................................................................13 Section 3.1 Residential Cable System ....................................................... 13 Section 3.2 Line Extension….. .............................................................................13 Section 3.3 Maps………… ................................................................ 14 Section 3.4 Commercial Establishments ...................................................... 14 Section 3.5 Service to Buildings Other Than Public Schools ..................... 14 Section 3.6 Service to Public Schools ......................................................... 14 Section 3.7 Emergency Audio Alert ............................................................. 15 Section 3.8 Stand-by Power ..............................................................................15 Section 3.9 Tree Trimming and Cutting ..............................................................15 Section 3.10 Underground Wiring of Utilities....................................................15 Section 3.11 Pedestals and Vaults................................................................... 15 Section 3.12 Restoration to Prior Condition................................................... 16 Section 3.13 Cooperation With Building Movers.......................................... 16 Section 3.14 Relocation of Facilities .............................................................. 16 Section 3.15 Town Use of Licensee’s Poles and Conduit ............................ 16 Section 3.16 Relocation of Fire Alarms ........................................................ 17 Section 3.17 Service Interruption .................................................................... 17 Section 3.18 Right to Inspection of Construction.......................................... 17 Section 3.19 Upgrade, Technical and Maintenance Standards ........................................................................... 17 2
Section 3.20 Maintenance Log ....................................................................... 18 Section 3.21 Emergency Removal of Plant ................................................ 18 Section 3.22 Private Property..................................................................................18 Section 3.23 Qualifications of Construction Personnel ................................ 19 ARTICLE 4 RATES AND PROGRAMMING ..................................................20 Section 4.1 Basic Service ..................................................................................20 Section 4.2 Programming ..................................................................................20 Section 4.3 Leased Access ..................................................................................20 Section 4.4 Stereo TV Transmissions........................................................... 20 Section 4.5 Channel Line-Up ...................................................................... 20 Section 4.6 Remote Control Devices ............................................................ 20 Section 4.7 Rebates……... ...................................................................... 20 ARTICLE 5 LOCAL ACCESS PROGRAMMING, PUBLIC, EDUCATIONAL AND GOVERNMENTAL ACCESS FACILITIES AND SUPPORT................................................. 22 Section 5.1 Public, Educational and Government Access (PEG)............... 22 Section 5.2 Public Access to the Cable System ........................................... 22 Section 5.3 Government Access to the Cable System................................. 22 Section 5.4 Educational Access ........................................................................23 Section 5.5 PEG Access Channels....................................................................23 Section 5.6 Annual Support for PEG Access............................................... 23 Section 5.7 PEG Access Capital Funding ................................................ .24 Section 5.8 Recomputation ..................................................................................24 Section 5.9 Equipment Ownership ...................................................................24 Section 5.10 Remote Origination Points ........................................................ 25 Section 5.11 PEG Access Channels Maintenance ............................................25 Section 5.12 Censorship ........................................................................ 25 Section 5.13 PEG Access Programming Costs.............................................. 25 ARTICLE 6 SUBSCRIBER RIGHTS AND CONSUMER PROTECTION ..................................................................... 26 Section 6.1 Business Office ..................................................................................26 Section 6.2 Customer Service Standards .............................................................26 Section 6.3 Complaint Resolution Procedures ............................................ 26 Section 6.4 Subscriber Information .............................................................. 26 Section 6.5 Parental Control Capability ....................................................... 27 Section 6.6 Billing and Termination Procedures ......................................... 27 Section 6.7 Advance Billing........................................................................... 27 Section 6.8 Protection of Subscriber Privacy ............................................... 27 Section 6.9 Employee Identification Cards .......................................................27 3
Section 6.10 Non-Discrimination .................................................................... 27 Section 6.11 Inside Wiring…..................................................................................27 Section 6.12 Voluntary Disconnection of Service ......................................... 27 Section 6.13 Electronic Notice .................................................................... 28 ARTICLE 7 LICENSE ADMINISTRATION .................................................29 Section 7.1 Indemnification ..............................................................................29 Section 7.2 Insurance ...................................................................... 29 Section 7.3 Performance Bond..........................................................................29 Section 7.4 Administration of the Cable System, Cable Advisory Committee, and Regional Cable Advisory Committee .......... 30 Section 7.5 Performance Evaluation Sessions ............................................. 31 Section 7.6 Information Requests and Right to Inspect Records and Facilities ........................................................................... 31 Section 7.7 Non-Performance by the Licensee ............................................ 32 Section 7.8 License Fee Entitlement and Access Payments ....................... 32 Section 7.9 Taxes……….. ........................................................................ 32 Section 7.10 Annual Performance Test .......................................................... 32 Section 7.11 Subscriber Complaint Report .................................................... 32 Section 7.12 Individual Complaint Report ..................................................... 32 Section 7.13 Quality of Service ...........................................................................33 Section 7.14 Service Interruption Report ....................................................... 33 Section 7.15 Financial Reports................................................................................33 Section 7.16 Number of Subscribers ..................................................................33 Section 7.17 Non-Exclusivity of Remedy..........................................................33 Section 7.18 Dual Filings ..................................................................................34 Section 7.19 Additional Information ..................................................................34 Section 7.20 Revocation of Renewal License ................................................ 34 ARTICLE 8 GENERAL PROVISIONS ..............................................................36 Section 8.1 Entire Agreement ...............................................................................36 Section 8.2 Captions ........................................................................ 36 Section 8.3 Severability ........................................................................... 36 Section 8.4 Force Majeure ........................................................................ 36 Section 8.5 License Exhibits .............................................................................36 Section 8.6 Warranties ........................................................................ 36 Section 8.7 Applicability of License............................................................. 37 Section 8.8 Jurisdiction…... ..............................................................................37 Section 8.9 Notice………… ......................................................................... 37 Section 8.10 Town’s Right of Intervention ........................................................38 Section 8.11 Reservation of Rights .....................................................................38 Section 8.12 Incorporation of M.G.L. c. 166A, Section 5 .............................. 38 Section 8.13 No Third Party Beneficiaries.........................................................38 4
Exhibits Exhibit A Town Service Area Map................................................................39 Exhibit B Existing Coax Local Origination Sites to be Maintained ...... 40 Exhibit C Coax Local Origination Sites to be Upgraded to Fiber Optic Sites...................................................................... 45 Exhibit D FCC Regulations – Customer Service Obligations ............... 50 Exhibit E FCC Regulations – Customer Service Information ............... 53 5
ARTICLE 1 - DEFINITIONS For the purpose of this License, the following words, terms, phrases and their derivations shall have the meanings given herein, unless the context clearly requires a different meaning. When not inconsistent with the context, the masculine pronoun includes the feminine pronoun, words used in the present tense include the future tense, words in the plural number include the singular number and words in the singular number include the plural number. The word “shall” is always mandatory and not merely directory. Access Corporation: The non-profit corporation known as Community Television for The Southern Berkshires Inc. (“CTSB”), or a successor agency, designated by the Issuing Authority to manage and operate public, educational and governmental access in the Town in accordance with this Agreement and 47 U.S.C. 531. Cable Television System or Cable System: The Cable Television System owned, constructed, installed, operated and maintained in the Town for the provision of cable television services within said Town, in accordance with the terms and conditions in this License. Channel: Channel means a frequency band which carries one television signal. Complaint: Any customer inquiry regarding picture quality or other technical matters, billing inquires or service requests which are not resolved by Licensee in the initial contact with the subscriber. Department: The Massachusetts Department of Telecommunications and Cable or “DTC”. Downstream Channel: A channel over which signals travel from the Cable System Headend to an authorized location within the System. Educational Access: Any channel or time thereon which has been allocated for non-commercial educational use in accordance with this Agreement and 47 U.S.C. 531. FCC: The Federal Communications Commission, or any successor agency. Governmental Access: Any channel or time thereon which has been allocated for non-commercial, local governmental use by the Town, the Issuing Authority or municipal agencies in accordance with this Agreement and 47 U.S.C. 531. Gross Annual Revenues: Any and all revenues as determined in accordance with generally accepted accounting principles (GAAP) received by the Licensee from the provision of cable service over the cable television system within the Town provided, however, that Gross Annual Revenues shall not include any taxes on services furnished by the Licensee imposed directly or indirectly on any subscriber by any state, Town or other governmental unit or third party and collected by the Licensee 6
on behalf of such entity; and, provided further, that Gross Annual Revenues shall not include adjustments to cash receipts and non-operating cash receipts such as bad debts, refunds, credit adjustments, returned checks and sales of assets. Issuing Authority: The Board of Selectmen of the Town of , Massachusetts. Leased Access: Any channel available for lease for programming by persons other than Licensee in accordance with 47 U.S.C. 532. Licensee: Time Warner Cable Northeast LLC, a wholly owned indirect subsidiary of Time Warner Cable Inc., or any successor or transferee in accordance with the terms and conditions in this License. Person: means any natural person or any association, firm, partnership, joint venture, corporation, limited liability company or other legally recognized entity, private or public, whether for profit or not-for-profit. Private Roads: roads owned and maintained by private individuals or entities rather than by the Town or other government. Programming: Programming generally considered comparable to programming provided by television broadcast stations which is carried over the Cable Television System. Public Access: The availability for non-commercial use by any resident of the Town or any organization based in or serving the Town of designated public access facilities, equipment, training and/or channels of the Cable Television System, as provided in this License and in accordance with 47 U.S.C. 531. Public Way or Street: The surface of, as well as the spaces above and below, any and all public streets, avenues, highways, alleys, sidewalks, lanes, boulevards, concourses, driveways, bridges, tunnels, parks, parkways, and public grounds and all other publicly owned real property or real property rights under the jurisdiction of the Town within or belonging to the Town, or over which the Town has an easement or right-of-way, or easements or rights of way within the Town which have been dedicated for compatible uses in accordance with 47 U.S.C. 541 (a)(2), or to which the Town has rights compatible with the installation of cable and ancillary equipment pursuant to this License, now or hereafter existing. Reference herein to “Public Way” or “Street” is not to be construed to be a representation or guarantee by the Town that the Licensee shall gain or be permitted to exercise any rights to use property in the Town greater than those possessed by the Town. Service Area: The area in the Town in which a residence can be served by a Standard Cable Installation from the cable plant as indicated on the map attached as Exhibit A, which Exhibit (i.e. map) shall be updated to reflect additional cable plant (except drops) installed during the term of this License. Standard Cable Installation: An aerial connection consisting of fiber and/or coaxial cable between the Trunk, Feeder Line and Distribution System and a residential or municipal governmental Outlet located 7
within Two hundred fifty Feet (250’) of the existing System’s Trunk, Feeder Line and Distribution System, and which does not require design changes or additional equipment (including but not limited to amplifiers or plant extensions) to provide acceptable Signal quality into the residence. Subscriber: Any person, firm, corporation or other entity who or which elects to subscribe to, and is authorized to receive, for any purposes, Licensee’s Cable Service provided by the Licensee by means of, or in connection with, the Cable Television System. Town: Any/all of the Town of _____________, Massachusetts including all area geography within the boundaries of the Town. Towns: The Towns of Great Barrington, Lee, Lenox, Sheffield and Stockbridge, Massachusetts. 8
ARTICLE 2 - GRANT AND TERM OF LICENSE Section 2.1 GRANT OF LICENSE Pursuant to the authority of Chapter 166A of the General Laws of the Commonwealth of Massachusetts and the Cable Act, and subject to the terms and conditions set forth herein, the Board of Selectmen of the Town of _______________, acting as the Issuing Authority of the Town, hereby grants a non-exclusive, revocable cable television renewal license to Licensee, authorizing and permitting Licensee to construct, upgrade, install, operate and maintain a Cable Television System and provide cable service within the municipal boundaries of the Town. Section 2.2 RIGHTS AND PRIVILEGES OF LICENSEE Subject to the terms and conditions herein, the Issuing Authority hereby grants to Licensee, the right to construct, upgrade, install, operate and maintain a Cable Television System in, under, over, along, across or upon the public streets, lanes, avenues, alleys, sidewalks, bridges, highways and other Public Ways or places in the Town within the municipal boundaries and subsequent additions thereto, including property over which the Town has an easement or right-of-way, or which the Licensee may use pursuant to 47 U.S.C. 541(a)(2), for the purpose of Cable Television System reception, transmission, collection, amplification, origination, distribution, or redistribution of audio, video, text, data or other signals in accordance with the laws of the United States of America, the Commonwealth of Massachusetts and the Town. In exercising rights pursuant to this License, Licensee shall not endanger or interfere with the lives of persons, interfere with any installations of the Town, any public utility serving the Town, nor unnecessarily hinder or obstruct the free use of public ways and places. Section 2.3 APPLICABLE LAW This License is granted under and in compliance with Chapter 166A of the General Laws and all other general laws and acts of the Legislature, and in compliance with all applicable federal law, including, but not limited to, all rules of the Federal Communications Commission (“FCC”), and all other state and federal rules and regulations. This License is subject to all rules and regulations of the Massachusetts Department of Telecommunications and Cable. Section 2.4 TERM OF LICENSE This License shall commence upon the Effective Date which shall be the date on which the Licensee and all Towns shall have approved a license substantially similar to this License and shall terminate upon February 28th, 2023. Section 2.5 TRANSFER AND ASSIGNMENT OF RENEWAL LICENSE 9
(a) To the extent required by M.G.L. c. 166A, sec. 7, this License or control thereof shall not be transferred, assigned or disposed of in any manner, voluntarily or involuntarily, directly or indirectly, or by transfer of control of any person, company or other entity holding such License to any other person, company or other entity (any such transaction to be referred to for purposes of this Section as a “Transfer”), without the prior written consent of the Issuing Authority, which consent shall not be unreasonably or arbitrarily withheld. Such consent shall be given only after a public hearing upon a written application therefore as provided by the Department and on forms prescribed by the Department. Any such consent process shall be consistent with the transfer requirements of the Cable Act and FCC regulations. The application for transfer consent shall be signed by the Licensee and by the proposed transferee or assignee, or by their authorized representatives. A mortgage or other grant of a security interest in this License to a banking or other financial institution, or a pledge or grant of other security interest in the stock of Licensee to a banking or other financial institution, shall not be a transfer requiring consent of the Issuing Authority. Should such mortgagee or other holder of a security interest or pledgee assume control of the cable system, such Issuing Authority consent shall be required in accordance with applicable law. (b) No consent under subsection (a) shall be required if such sale, assignment or transfer is to an entity under common control with Licensee. In the event that Licensee deems a transfer to be internal in nature, not subject to applicable transfer law, and not described within the preceding sentence it may seek an advisory opinion from the Department requesting such interpretation and shall give written notice to the Issuing Authority of any such request. (c) In considering a request to transfer control of this License, the Issuing Authority may consider, subject to applicable law, such factors as the transferee’s financial qualifications, management and technical expertise, character qualifications, experience in the cable industry, performance in other communities and any other reasonable criteria allowable under applicable federal law, and request such reasonable information as allowable under applicable law. (d) For purposes of this section, the word “control” shall be consistent with the definition of such term found in 207 CMR 4.03. (e) The consent or approval of the Issuing Authority to any assignment, lease, transfer, sublease, or assumption of control by a mortgagee of the License granted to the Licensee shall not constitute a waiver or release of the rights of the Town in and to the streets and Public Ways or any other rights of the Town under this License, and any such transfer shall, by its terms, be expressly subordinate to the other terms and conditions of this License. (f) The Licensee shall promptly notify the Issuing Authority of any action or proposed action requiring the consent of the Issuing Authority pursuant to this Section 2.5. (g) The Licensee shall submit to the Issuing Authority an original and five (5) copies, unless otherwise directed, of the application and Form 100 requesting such transfer or assignment consent. 10
(h) Any proposed controlling or owning person or transferee approved by the Town shall be subject to all of the terms and conditions contained in this License. Any transferee shall agree to be bound by all of the terms and conditions of this License. (i) Any transfer of the Cable System without complying with this Section 2.5 above shall be deemed a material breach of this License. (j) If the Issuing Authority lawfully denies its consent to any such action and a transfer has nevertheless been affected, the Issuing Authority may revoke and terminate this License subject to the procedures set forth in Section 7. (k) The grant or waiver of any one or more of such consents shall not render unnecessary any subsequent consent or consents, nor shall the grants of any such consent constitute a waiver of any other rights of the Town. Section 2.6 NON-EXCLUSIVITY OF GRANT This License shall not affect the right of the Issuing Authority to grant to any other person, a license or right to occupy or use the streets, or portions thereof, for the construction, installation, operation or maintenance of a Cable Television System within the Town or the right of the Issuing Authority to permit the use of the Public Ways and places of the Town for any purpose whatsoever. The issuance of any additional license shall be on the same or comparable terms and conditions contained in this License agreement, and such terms shall be no more favorable or less burdensome to any such additional licensee then the terms of this License Agreement. Notwithstanding any other provision in this License: In the event any change to state or federal law occurring during the term of this License eliminates the requirement for any person desiring to construct, operate or maintain a cable system in the Town to obtain a License from the Issuing Authority for the construction, operation or maintenance of a cable system, then, Licensee shall have the right to terminate this License and operate the system under the terms and conditions established in applicable law. If Licensee chooses to terminate this License pursuant to this provision, this License shall be deemed to have expired by its terms on the effective date of any such change in law, whether or not such law allows existing License agreements to continue until the date of expiration provided in any existing License. Furthermore, in the event any change to state or federal law occurring during the term of this License materially alters the regime of cable franchising applicable to any persons desiring to construct, operate or maintain a cable system in the Town in a way that reduces the regulatory or economic burdens for such person, then, at Licensee’s request, Issuing Authority shall agree with Licensee to amend this License to similarly reduce the regulatory or economic burdens on Licensee. It is the intent of this section that, at Licensee’s election, Licensee shall be subject to no more burdensome regulation or provided lesser benefits under this License than any other persons that might construct, operate or maintain a cable system in the Town. In the event of a termination or amendment of the License under the terms of this provision, the provisions of Section 2.8(b) will continue to apply to Licensee. 11
Section 2.7 POLICE AND REGULATORY POWERS By executing this License, Licensee acknowledges that its rights are subject to the powers of the Town to adopt and enforce general ordinances and by-laws necessary to the safety and welfare of the public. Licensee shall comply with all applicable laws and by-laws enacted by the Town pursuant to any such police powers provided that such laws or by-laws are of general applicability and not inconsistent with the terms of this License. Section2.8 REMOVAL OR ABANDONMENT (a) Pursuant to M.G.L. ch. 166A, s. 5(f), upon termination of this License by passage of time or otherwise without right of renewal, and unless Licensee renews its license for another term or Licensee transfers its license to a transferee approved by the Issuing Authority, Licensee shall remove its supporting structures, poles, transmission and distribution systems and all other facilities, but, at the discretion of the Issuing Authority, not its underground cable and/or conduit, from the public ways and places and shall diligently restore all areas to the condition they were in immediately preceding removal, unless pursuant to Section 2.9 of this license, the Issuing Authority effects a transfer of the property. If such removal is not completed within six (6) months after such termination, the Issuing Authority may deem any property not removed as having been abandoned, and the Issuing Authority may dispose of the same in any way or manner it deems appropriate without liability of any type or nature to the Licensee. If such disposition results in a loss to the Issuing Authority, Licensee shall be liable to the Issuing Authority for the amount of such loss. (b) System Abandonment. Licensee shall not abandon cable service or any of its facilities in any portion of the Town without the consent of the Issuing Authority. Section2.9 PROCEEDINGS UPON EXPIRATION OR REVOCATION OF LICENSE In the event that this License is revoked or that it expires without further renewal, the Issuing Authority and the Licensee may transfer the cable system to the Town or a subsequent licensee subject to Section 627 of the Cable Act. 12
ARTICLE 3 - SYSTEM DESIGN, CONSTRUCTION AND OPERATION Section 3.1 RESIDENTIAL CABLE SYSTEM Licensee will maintain its Cable System in the Town at a minimum bandwidth of 860 MHz. Section 3.2 LINE EXTENSION (a) Licensee shall install cable service within 14 days of a request at a standard installation charge to any residence in the Service Area currently served by the cable system as indicated on the map attached as Exhibit A, (as it may be supplemented upon additions to the plant) except that Licensee may charge for the costs of labor and materials necessary to provide service beyond 250 feet from the cable plant in the public way and/or to provide a customized installation, including any undergrounding, boring or trenching. For purposes of this Section, private roads (i.e. roads not serviced by the Town) and shared driveways are not in the public way. (b) In order to fulfill a request for cable service to a residence, the Cable Television System shall be extended at Licensee’s expense, from existing cable plant to any and all areas of the Town containing twenty (20) residences per aerial mile of cable plant or fractional proportion thereof necessary to provide service. Said service shall be made available and fully activated to requesting subscribers no later than sixty (60) days after the Licensee's receipt of permission to attach cable to poles. Density per aerial mile of cable plant shall be computed by dividing the number of residential dwelling units within 250 feet of the plant to be installed by the length, in miles or fractions thereof, of the total amount of new construction of aerial cable necessary to make service available to the residential dwelling units in such area in accordance with Licensee’s system design parameters. The cable length shall be measured from the nearest point of access to the then-existing system, provided that extension is technically feasible from that point of access, and located within the public rights-of-way. The total cable length shall exclude the drop cable necessary to serve individual subscriber premises. ( c) The Cable Television System shall be further extended to all areas in the Town that do not meet the requirements of subsections (a) or (b) above upon request of the prospective subscribers in such areas and based upon the following cost calculation: If a request for an extension requires the construction of the cable system plant into an area which does not contain the twenty (20) residences per aerial mile of cable plant or a fractional part thereof, the Licensee and the potential subscriber(s) will each be responsible for their proportionate share of construction costs. Licensee’s proportion of the cost will be determined by multiplying the cost of extending the cable system plant by a fraction, the numerator of which is the number of residences per cable mile in the area and the denominator of which is 20. The balance of the costs will be paid by the person(s) requesting the extension. By way of example, if in order to serve a person requesting cable service, the Licensee must extend its plant by one mile of aerial cable that passes 15 homes, then the Licensee shall be responsible for 15/20 or 75% of the costs of the extension and the person or persons requesting 13
service shall be responsible for the remaining 5/20 or 25% of the cost. (d) When Licensee has forty-five (45) day prior notice concerning the opening of residential subdivision trenching, or of the standard installation of conduit for the location of utilities, it shall install its cable in such trenching or conduits or may seek permission to utilize alternative trenching or conduits within a comparable time frame. (e) The Licensee shall expeditiously seek all necessary permits. Section 3.3 MAPS Upon request, the Licensee shall make available to the Issuing Authority for inspection accurate strand maps of all existing and newly constructed Cable System plant. The Town agrees to maintain the confidential nature of such maps. Section 3.4 COMMERCIAL ESTABLISHMENTS The Licensee shall be required to make Cable Service available to any commercial establishment in the Town upon reaching a reasonable agreement with such commercial establishment regarding the terms and costs of initial installation and service in accordance with applicable law. It is herein acknowledged that certain programming service may not be available to commercial establishments pursuant to applicable law or the Licensee’s agreements with its program suppliers. Section 3.5 SERVICE TO BUILDINGS OTHER THAN PUBLIC SCHOOLS Licensee shall provide, free of charge, a standard installation (250 feet) and basic cable service to all public libraries; police and fire stations; Town Hall; Senior Center; Non-Profit Municipally-owned Community Centers and Town Highway Garages. Such locations receiving free basic cable service as of the Effective Date will continue to receive it, regardless of the length of the drop. Section 3.6 SERVICE TO PUBLIC SCHOOLS (a) The Licensee shall provide a standard installation (250 feet) and basic cable service at no cost to all public schools within the Town. Licensee shall install additional cable television outlets in the public schools on an as needed basis as mutually agreed upon with the Issuing Authority. The Licensee shall discuss the location of each connection with the proper officials of the public schools prior to the installation of said service. Such locations receiving free basic cable service as of the Effective Date will continue to receive it, regardless of the length of the drop. (b) Licensee shall provide its full cooperation and free technical advice should the School District undertake to accelerate, at its own cost, the wiring of additional public classrooms for cable service. The School District shall insure that such wiring conforms to Licensee’s technical standards and shall not result in signal leakage beyond acceptable FCC standards. 14
Section 3.7 EMERGENCY AUDIO ALERT The Licensee shall provide an Emergency Alert System (“EAS”) in accordance with the regulations of the FCC. The Town shall indemnify and hold the Licensee harmless for any acts of the Town in connection with the Town’s use of said emergency audio override. Section 3.8 STAND-BY POWER The Licensee shall maintain twenty-four hour, standby power at the Headend Facilities and any sub-headends. Such stand-by power shall have continuous capability, contingent upon availability of fuel necessary to operate generators, shall become activated automatically upon the failure of normal power supply. Section 3.9 TREE TRIMMING AND CUTTING In the installation, maintenance, operation and repair of the poles, cables, wires and all appliances or equipment of the Cable System, the Licensee shall avoid unnecessary damage to trees whether on public or private property in the Town and shall cut or otherwise prune such trees only to the least extent necessary. Licensee shall comply with all applicable regulations regarding trimming and cutting of trees. Licensee shall make reasonable efforts to secure the permission of the property owner prior to reasonable tree trimming. Section 3.10 UNDERGROUND WIRING OF UTILITIES Upon receiving due notice of the installation of telephone, electric and all other utility lines underground, the Licensee shall likewise place its facilities underground. Underground cable lines shall be placed according to any Public Works, Highway Department or other Town by-law or regulation and in accordance with applicable state law. It is the policy of the Town that existing poles for electric and communication purposes be utilized wherever possible if available on reasonable terms and that underground installation is preferable to the placement of additional poles, provided, said undergrounding is required of other utilities. When possible, Licensee shall be able to use the underground conduit maintained by the Town provided that such use is i) found by the Selectmen to be reasonable, at the sole cost and expense of the Licensee and ii) does not interfere with the Town’s use or anticipated use of said conduit(s). Any such use by the Licensee shall be subject to the advance notification and approval of the Town and the right of the Town to supervise any such use. Licensee shall maintain membership and participate in the Massachusetts “DIG-SAFE” program. Section 3.11 PEDESTALS AND VAULTS In any cases in which vaults or control boxes housing passive or active devices are to be utilized in the Town public ways or within the Town public lay-out, such equipment shall be placed in a low- profile, above-ground electronic control box in accordance with applicable regulations and at Town approved locations to be determined when Licensee applies for permits, which shall not be unreasonably denied. All such equipment shall be shown on the maps submitted to the Town in accordance with Section 3.3 herein. 15
Section 3.12 RESTORATION TO PRIOR CONDITION (a) Whenever the Licensee takes up or disturbs any pavement, sidewalk or other improvement of any public way or public place, it shall be replaced and the surface restored in as good condition as before entry but to such standards required of utilities operating within the Town and as soon as practicable. If the Licensee fails to make such restoration within a reasonable time, the Town may notify the Licensee in writing of the required restoration and the reasonable time for completion of the restoration. Upon failure of the Licensee to comply with the time specified, the Town may make or contract for restoration and repairs and the reasonable and itemized expenses of such work shall be paid by the Licensee upon demand by the Town. Any damages to private property shall be determined in accordance with M.G.L. ch. 166A, Section 22 and applicable law. (b) Underground crossings of paved roads will be by boring under the road, not by trenching or opening the surface of the road except to the extent that boring is not feasible or is otherwise unreasonable to do. Section 3.13 COOPERATION WITH BUILDING MOVERS The Licensee shall, on the request of any person holding an appropriate permit issued by the Town, temporarily raise or lower its lines to permit the moving of any building or other structure. The expense of such raising or lowering shall be paid in accordance with law. The Licensee shall be given at least seven (7) days advance notice of any such move, except in emergencies. Section 3.14 RELOCATION OF FACILITIES The Licensee shall, at its expense, temporarily or permanently relocate any part of the Cable System when required by the Town for good reasons which are within the Town’s police power, such as public safety, street construction, change or establishment of street grade or layout, installation of sewers, drains, water pipes, power or signal lines, setting of new or replacement utility poles and the construction of any public improvement or structure. In this respect, the Licensee shall be treated on par with any affected utilities. Section 3.15 TOWN USE OF LICENSEE’S POLES AND CONDUIT The Town shall have the right to attach to any pole erected by Licensee and to place in any of Licensee’s conduits, its own cable and equipment to be used for fire, police and other governmental communications purposes where space permits, excluding the commercial use of providing services competing with Licensee’s services. All such placements by the Town shall conform with all applicable rules and regulations. The costs for such placements by the Town shall be borne by the Town and cause no additional expense to Licensee. Such placements by the Town shall not interfere with the routine operation by the Licensee of its Cable Television System. The Licensee shall notify the Town of any plans for installation of conduit and cooperate with the Town as to its type and location so as to best enable the Town to use it, again provided there is no additional expense to Licensee. If Licensee removes its installation from conduits where municipal equipment or cable is present, it shall provide notice beforehand to the Town. Licensee shall be held harmless from any resulting damages from its 16
non-negligent removal of its own installations. The Town shall remove its facilities from any Licensee pole or conduit if Licensee has need of the space for its own facilities. Section 3.16 RELOCATION OF FIRE ALARMS The Licensee shall reimburse the Town at cost for any reasonable expense including materials and labor caused by relocation of any fire alarm cable or equipment to make poles ready for Licensee’s cable. The Town shall cooperate in this relocation so as to minimize delay in Licensee’s construction schedule. Section 3.17 SERVICE INTERRUPTION Except where there exists an emergency situation necessitating a more expeditious procedure, Licensee shall use reasonable efforts to interrupt service for the purpose of system construction, routine repairing or testing the Cable System only during periods of minimum use. Section 3.18 RIGHT TO INSPECTION OF CONSTRUCTION The Issuing Authority or its designee shall have the right upon reasonable notice to inspect during normal business hours all construction performed in the rights-of-way subject to the provisions of this License, as it shall deem necessary to ensure compliance with the terms and conditions of this License and applicable law. Any such inspection(s) shall not interfere with the Licensee’s operations, except in emergency situations. The Town shall give reasonable prior notice of any inspection to the Licensee, and Licensee shall have the right to accompany the Town’s inspectors. Section 3.19 UPGRADE, TECHNICAL AND MAINTENANCE STANDARDS (a) The Licensee shall operate and extend a Cable Television System and render efficient service to subscribers as required by this License and applicable laws and regulations during the term of this License. The construction, maintenance and operation of the Cable Television System for which this License is granted shall be in conformance with the applicable provisions of the National Electrical Code (Article 820), the Massachusetts Electrical Code, the National Electrical Safety Code, and the applicable rules and regulations of the Occupational Safety and Health Administration (OSHA), the Massachusetts DTC, Department of Public Utilities and the FCC and all Town building and zoning codes and all land use restrictions. All FCC regulations concerning technical standards are incorporated as independent standards of this License as well, including but not limited to 47 CFR 76.601 sub-part K, et seq. Copies of any technical performance tests that may be required under FCC rules and regulations shall be submitted forthwith, upon request, to the Issuing Authority. The Licensee’s Cable Television System shall incorporate a technically advanced design configuration and operation consistent with cable industry practice. If as a result of technological developments, the Licensee’s Cable Television System could be greatly enhanced, the Licensee shall investigate the feasibility of implementing such new developments and shall implement such technological developments if such implementation (i) can be done without adding a financial burden to subscribers and (ii) is technically and economically feasible and viable for 17
the Licensee as determined by Licensee at its sole discretion. In determining whether or not the Licensee shall implement such new developments, the Licensee may consider, among other factors, the remaining term of this Renewal License; performance demonstrating the operational feasibility of the new developments; construction and other related costs; the adaptability of such developments to the Licensee’s Cable Television System or any part thereof; and the potential marketability of the new services and other factors affecting the economic feasibility and viability of implementation of the new developments. (b) Licensee, when possible, shall take appropriate measures to minimize audio variations within its control between channels in the cable systems as required by FCC Technical Standards. (c) All Licensee’s structures, lines, equipment, and connections in, over, under, and upon streets, sidewalks, alleys, and public ways and places of the Town, wherever situated or located, shall at all times be kept and maintained in a safe condition and in good order and repair. Section 3.20 MAINTENANCE LOG Licensee shall maintain an annual log or computerized listing, showing the date, approximate time and duration, type and probable cause of all Cable Television System outages, whole or partial, due to causes other than routine testing or maintenance. All entries in such log or computerized listing shall be retained by Licensee for two (2) additional years and shall be subject to inspection and copying in accordance with federal and state privacy laws, rules and regulations by the Issuing Authority or its designee during Licensee’s regular business hours upon reasonable request, following reasonable notice. Section 3.21 EMERGENCY REMOVAL OF PLANT If, at any time, in case of fire or disaster in the Town, it shall become necessary in the exercise of police powers of the Issuing Authority or any public safety or other designated public official, to cut or move any of the wires, cables, amplifiers, appliances or appurtenances of the Cable System, the Town shall have the right, within its police power, to do so at the sole cost and expense of Licensee. In such case, the Town shall notify Licensee of the cables or other equipment which have been cut or removed. Section 3.22 PRIVATE PROPERTY Licensee shall be subject to all generally applicable laws, by-laws or regulations regarding private property in the course of constructing, upgrading, installing, operating and maintaining the Cable System in the Town including, but not limited to, M.G.L. ch .166A, Section 22. Licensee shall promptly repair or replace all private property, real and personal, damaged or destroyed as a result of the construction, upgrade, installation, operation or maintenance of the Cable Television System at its sole cost and expense. The installation and operation of Licensee’s cable plant shall not create any disturbance of, or nuisance to, private property in the Town. Section 3.23 QUALIFICATIONS OF CONSTRUCTION PERSONNEL 18
Licensee shall, if requested by the Issuing Authority provide the Issuing Authority with the names and addresses of any construction companies, or if operating as individuals, the names and addresses of such individuals, who will contract or sub-contract with the Licensee to perform construction obligations of the Licensee under this License. Furthermore, Licensee shall, upon request of the Issuing authority, furnish the names, addresses and telephone numbers of persons who can serve as references for such construction contractors and sub-contractors. 19
ARTICLE 4 - RATES AND PROGRAMMING Section 4.1 BASIC SERVICE The Licensee shall provide Basic Cable Service which shall include at least the Designated Market Area (“DMA”) broadcast television signals which it carries as required by Federal law and the downstream channels, for public, educational and governmental access use. Section 4.2 PROGRAMMING (a) Licensee has offered and shall provide the following cable services: (i) All broadcast stations required to be carried by federal law; (ii) All public, educational and governmental access channels required by Article 5 of this Agreement; (b) The Town has expressed to Licensee its interest in the carriage on the system of broadcast stations licensed in Massachusetts and Licensee has acknowledged that expression of interest by the Town. Section 4.3 LEASED ACCESS Pursuant to the Cable Act, 47 U.S.C. 532(b)(iii)(B), Licensee shall make available channel capacity for commercial use by persons unaffiliated with Licensee. Section 4.4 STEREO TV TRANSMISSIONS All TV signals that are received by Licensee in stereo shall be transmitted to subscriber homes in stereo. Section 4.5 CHANNEL LINE-UP In accordance with applicable federal law, Licensee shall notify the Issuing Authority and the subscribers, in advance, each time its channel line-up changes including all channel reassignments, additions or deletions, insofar as it is within the Licensee’s reasonable ability to provide such notice. If notice cannot be given in advance, then it shall be given within thirty (30) days of such changes. Section 4.6 REMOTE CONTROL DEVICES To the extent required by applicable law, Licensee shall allow subscribers to purchase from parties other than the Licensee and to utilize remote control devices which are compatible with the converter installed by Licensee. Section 4.7 REBATES 20
In accordance with 207 CMR 10.09, Licensee shall grant a pro rata credit or rebate to any subscriber whose entire cable service is interrupted for twenty-four (24) or more consecutive hours, if the interruption was not caused by the subscriber and the Licensee knew or should have known of the service interruption. If an entire tier or premium service of a subscriber’s cable service is interrupted for twenty-four (24) or more consecutive hours, the Licensee shall provide a pro rata credit or rebate for each tier or premium service interruption as provided in 207 CMR 10.09(1). 21
ARTICLE 5 - LOCAL ACCESS PROGRAMMING,PUBLIC, EDUCATIONAL, AND GOVERNMENTAL ACCESS FACILITIES AND SUPPORT Section 5.1 PUBLIC, EDUCATIONAL AND GOVERNMENTAL ACCESS (PEG) The Licensee will make available to the Town and other franchising authorities served by the system, three channels for PEG access purposes. These channels will be included in the Licensee’s basic service tier. The Issuing Authority may authorize an Access Corporation to provide services to Public Educational and Governmental Access Users as follows: (1) Schedule, operate and program the PEG channels; (2) Manage the annual funding; (3) Purchase and/or lease equipment, with the funds allocated for such purposes; (4) Conduct training programs in the skills necessary to produce quality PEG programming; (5) Establish rules, procedures and guidelines for use of the PEG channels; (6) Provide publicity, outreach, referral and other support services to PEG Users; and (7) Accomplish such other tasks relating to the operation, scheduling and/or management of channels, facilities and equipment as appropriate and necessary. Section 5.2 PUBLIC ACCESS TO THE CABLE SYSTEM Any resident of the Town, or any organization based in or servicing the Town, shall have the right to place programming on the access channel(s) dedicated to public use. The parties recognize that any access channel facilities, equipment and training shall be available on a shared basis to each of the Towns pursuant to their respective Licenses. Section 5.3 GOVERNMENT ACCESS TO THE CABLE SYSTEM Any access channel(s) provided herein and dedicated to government use shall be available to the Issuing Authority, for the purposes of non-commercial municipal access television programming in accordance with 47 U.S.C. 531. Such channel may be used by government departments and agencies to inform subscribers about Town government and services. Government access programming shall be coordinated and managed by the Access Corporation, unless the Town decides to operate government access under a government department. 22
Section 5.4 EDUCATIONAL ACCESS Any access channel(s) provided herein and dedicated to educational use shall be available to any School District serving the Town for the purposes of non-commercial educational access television programming in accordance with 47 U.S.C. 531. Educational access programming shall be coordinated and managed by the Access Corporation in cooperation with any such School District. Section 5.5 PEG ACCESS CHANNELS The Licensee shall not move or otherwise relocate the channel location of a PEG access channel, once established, without the advance, written notice to the Issuing Authority and the Access Corporation. Such notice shall be provided at least thirty (30) days in advance unless Licensee is legally required to move the PEG access channel sooner. Section 5.6 ANNUAL SUPPORT FOR PEG ACCESS (a) Subject to subsection (d) hereof, the Licensee shall provide an annual payment to the Town or the Access Corporation, for PEG access purposes, equal to five percent (5%) of the Licensee’s Gross Annual Revenues less the amount paid by Licensee under Section 7.8. The Issuing Authority may, in its discretion, delegate the responsibility to the Access Corporation for receipt of said annual payment. The Issuing Authority may, in its discretion, delegate responsibility to the Access Corporation for the control and management of the access channels. The Issuing Authority shall notify Licensee of such delegation in writing no later than 30 days after the effective date of said delegation. Said annual payments shall be used for salary, operating and other related expenses connected with PEG access programming and operations and for any other purpose allowed by law. (b) Said annual five percent (5%) PEG access payment shall be made to the Town or the Access Corporation on an annual basis, on or before March 15, of each year based on the Licensee’s prior year Gross Annual Revenues. (c) In no event shall the total PEG operating support, including but not limited to the obligations enumerated in Sections 5.7(a), 5.7(b), and the license fee in Section 7.8, exceed five percent (5%) of Licensee’s Gross Annual Revenues. (d) The Licensee may withhold from the payment under subsection (a) above an amount equal to five percent (5%) of Gross Annual Revenues derived from sources other than cable subscribers and apply such amount against the costs incurred by Licensee in installing the connection required in the Towns under Section 5.10(b) until such time as the costs of the connections in the Towns under Section 3.5 have been recouped. (e) Unless otherwise required by applicable law, if services included within the definition of Gross Annual Revenues are provided to subscribers in conjunction with services not within the definition for a single aggregate price, and the total cost of such bundle reflects a discount from the aggregate retail prices of the services contained therein when provided separately, the five percent (5%) hereunder shall be applied to the retail price (when sold separately) of the services within the definition 23
of Gross Annual Revenues in the bundle, reduced by no more than a proportionate share of the overall discount. Section 5.7 PEG ACCESS CAPITAL FUNDING (a) Issuing Authority may, in its discretion, delegate the responsibility to the Access Corporation for receipt and usage of a capital facilities payment. The Issuing Authority shall notify Licensee of such delegation in writing no later than 30 days after the Effective Date of such delegation. The Licensee shall provide a combined total of $212,000 to be used for PEG capital equipment to the five Towns (Lee, Lenox, Stockbridge, Great Barrington, Sheffield) or the Access Corporation, as designated by the Issuing Authority in writing to the Licensee no later than ninety (90) days prior to such payment date. The total capital/facilities payment will be made in one payment, 90 days after the Effective Date of this license. (b) In the event that payments required to be made herein are not tendered on or before the dates fixed herein, interest due on such required payments shall accrue at the Prime Rate and be paid to the Town or the Access Corporation from the date due. (c) In no case shall said capital funding be counted against or included in the five percent (5%) PEG access funding pursuant to Section 5.7(a) above. Section 5.8 RECOMPUTATION Tender or acceptance of any payment shall not be construed as an accord that the amount paid is correct, nor shall such acceptance of payment be construed as a release of any claim that the Issuing Authority or the Access Corporation may have for additional sums including interest payable under this Section 5. The Issuing Authority and/or an independent certified public accountant hired by the Issuing Authority shall have the right to inspect records necessary to verify Gross Annual Revenues, as defined herein, in order to establish the accuracy of the payments tendered hereunder. If after such inspection, an additional payment is owed, such payment shall be paid within thirty (30) days after any recomputation. The interest on such additional payment shall be charged at the Prime Rate from the date that the Licensee is notified that such additional amount is owed. Section 5.9 EQUIPMENT OWNERSHIP The Issuing Authority may, in its discretion, delegate responsibility to the Access Corporation for the control and management of the access channels. The Issuing Authority shall notify Licensee of such delegation in writing no later than 30 days after the effective date of said delegation. The Town, or the Access Corporation, shall own all PEG access equipment purchased with funding pursuant to Section 5.7 supra. The Licensee shall have no obligation to maintain or insure any such PEG access equipment. 24
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